TIDMVSVS
RNS Number : 4108G
Vesuvius plc
06 November 2018
6 November 2018
Q3 2018 Trading Update
Vesuvius plc ("Vesuvius", the "Group"), a global leader in
molten metal flow engineering, releases the following Trading
Update in conjunction with its Capital Markets Day being held
today.
SUMMARY & OUTLOOK
We continue to deliver a strong performance across all business
units and regions of the world. As a result, we expect our full
year Trading Profit (EBITA) to be in-line with current consensus
market expectations (1) , even after taking into account an
increase in the foreign exchange headwind.
TRADING
The Group continues to benefit from growth in steel production,
which in Q3 2018 versus Q3 2017 has increased 2.6% in the world
excluding China and 4.3% including China, as reported by the World
Steel Association. In Foundry, the market environment remains
positive across the majority of our end markets.
Vesuvius' sales volume growth has continued to outperform
underlying market growth.
Delivery of our previously communicated restructuring programmes
has continued as planned during Q3 2018 and we remain on track with
our plan to improve our profitability on a sustainable basis.
FOREIGN EXCHANGE
The impact of exchange rate movements during 2018 has increased
since our H1 results, due primarily to further currency
depreciation in many of the developing markets in which we operate.
Without this increased foreign exchange headwind our expectations
for full year Trading Profit would have been approximately 5%
higher.
FINANCIAL POSITION AND WORKING CAPITAL
Working capital continues to show incremental improvement,
cashflow remains strong and we are consistently reducing our
leverage quarter on quarter.
CAPITAL MARKETS DAY
The presentation being given today at our Capital Markets day is
to provide more detail on the company's markets, its technologies,
its strategy and the initiatives that support the delivery of a
target 12.5% Return on Sales in 2020. The presentation will be
available on our website from 9am and an audio recording of the
event will be available later today.
Note: (1) The current market consensus for Trading Profit
(EBITA) in 2018 based on Vesuvius' internal calculations is GBP195m
(before separately reported items)
For further information please contact:
Shareholder/analyst enquiries:
+44 (0) 207 822
Vesuvius plc Patrick André, Chief Executive 0000
+44 (0) 207 822
Guy Young, Chief Financial Officer 0000
Euan Drysdale, Group Head of Corporate +44 (0) 207 822
Finance 0027
Virginia Skroski, Investor Relations +44 (0) 207 822
Manager 0016
Media enquiries:
Andrew Jaques/James White/Ollie +44 (0) 203 128
MHP Communications Hoare 8100
About Vesuvius plc
Vesuvius is a global leader in molten metal flow engineering
principally serving the steel and foundry industries.
We develop innovative and customised solutions, often used in
extremely demanding industrial environments, which enable our
customers to improve their manufacturing processes, enhance product
quality and reduce energy consumption. These include flow control
solutions, advanced refractories and other consumable products and
- increasingly - related technical services including data
capture.
We have a worldwide presence. We serve our customers through a
network of low-cost manufacturing plants located close to their own
facilities, and embed our industry experts within their operations,
who are all supported by our global technology centres.
Our core competitive strengths are our market and technology
leadership, strong customer relationships, well established
presence in developing markets and our global reach, all of which
facilitate the expansion of our addressable markets.
Our ultimate goal is to create value for our customers, and to
deliver sustainable, profitable growth for our shareholders giving
a superior return on their investment whilst providing each of our
employees with a safe workplace where he or she is recognised,
developed and properly rewarded.
Forward looking statements
This announcement contains certain forward looking statements
which may include reference to one or more of the following: the
Group's financial condition, results of operations, cash flows,
dividends, financing plans, business strategies, operating
efficiencies or synergies, budgets, capital and other expenditures,
competitive positions, growth opportunities for existing products,
plans and objectives of management and other matters.
Statements in this announcement that are not historical facts
are hereby identified as "forward looking statements". Such forward
looking statements, including, without limitation, those relating
to the future business prospects, revenue, working capital,
liquidity, capital needs, interest costs and income, in each case
relating to Vesuvius, wherever they occur in this announcement, are
necessarily based on assumptions reflecting the views of Vesuvius
and involve a number of known and unknown risks, uncertainties and
other factors that could cause actual results, performance or
achievements to differ materially from those expressed or implied
by the forward looking statements. Such forward looking statements
should, therefore, be considered in light of various important
factors that could cause actual results to differ materially from
estimates or projections contained in the forward looking
statements. These include without limitation: economic and business
cycles; the terms and conditions of Vesuvius' financing
arrangements; foreign currency rate fluctuations; competition in
Vesuvius' principal markets; acquisitions or disposals of
businesses or assets; and trends in Vesuvius' principal
industries.
The foregoing list of important factors is not exhaustive. When
considering forward looking statements, careful consideration
should be given to the foregoing factors and other uncertainties
and events, as well as factors described in documents the Company
files with the UK regulator from time to time including its annual
reports and accounts.
You should not place undue reliance on such forward looking
statements which speak only as of the date on which they are made.
Except as required by the Rules of the UK Listing Authority and the
London Stock Exchange and applicable law, Vesuvius undertakes no
obligation to update publicly or revise any forward looking
statements, whether as a result of new information, future events
or otherwise. In light of these risks, uncertainties and
assumptions, the forward looking events discussed in this
announcement might not occur.
Vesuvius plc, 165 Fleet Street, London EC4A 2AE
Registered in England and Wales No. 8217766
LEI: 213800ORZ521W585SY02
www.vesuvius.com
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
TSTLLFVTLILEIIT
(END) Dow Jones Newswires
November 06, 2018 02:00 ET (07:00 GMT)
Vesuvius (LSE:VSVS)
Historical Stock Chart
From Apr 2024 to May 2024
Vesuvius (LSE:VSVS)
Historical Stock Chart
From May 2023 to May 2024